Contract Practice Flashcards
On your TFA (Confidential) project, what was your advice to the Client?
This was the Temporary Fire Alarm project and my advice was that for the West Wing Contractor of the same project was delayed, and they needed to complete that section before works could commence on the Temporary Fire Alarms. I advised the Client that they could use the deferment of the possession of the site (Cl. 2.6) to move the start on site & completion date by 6 weeks without incurring L&E.
How did you present this advice for the TFA project to the Client?
I was based full-time on site and the Client and I would have regular 1 to 1 discussions to review the status of various projects. I followed this advice up with an email summarising our discussion in a clear and professional manner.
You mentioned that the Contractor was not entitled to L&E by activating this clause, is this always the case?
No, I am aware that the Contractor can be entitled to loss and expense if the Client delays them access to the site, however in this case there was no grounds for loss and expense.
Why was there no grounds for loss and expense for the Contractor on TFA project?
Because the same Contractor was working on other places of the project and was delayed through their own fault.
Can the Contractor be entitled to Loss or Expense if they are delayed access to the site?
Yes, this can be constituted as a Relevant Matter, so long as it is a genuine loss or expense incurred.
On the same project confidential, you mentioned the Contractor didn’t submit their application which meant the valuation process didn’t begin. What would happen if the works had begun and the Contractor still didn’t apply for payment?
If the works had begun, and the Contractor didn’t submit an AFP, then I would undertake my own assessment of the valuation and value the works accordingly.
On your PwC project you mentioned “NBS Chorus”. What is that?
The software used to assemble the Contract Preliminaries.
You mentioned the Contractor would need some insurances, could you list some insurances the Contractor might need under a JCT D&B?
1) Contractor’s all risk
2) Professional Indenmity
3) Bonds (Performance bonds, material off-site bond).
On Chelsea Barracks & PWI, you stated working with Vesting certificate. What is this?
Used to confirm that the ownership of the goods, plant, or materials will transfer from one party to another on payment.
What are alternatives to a vesting certificate you could use?
Materials off-site bond.
